Arco Facing Doe Oil Charges

October 21, 1985

The Department of Energy (DOE) is seeking $499 million from Atlantic Richfield Co. to settle charges that the oil company violated government price controls in a series of oil deals from 1978 through 1980. Carl Corallo, an attorney for DOE, said a proposed remedial order seeking $240 million in alleged excessive prices plus $259 million in interest was sent to Arco a week ago. In a separate case, Arco agreed in June to pay the government some $67 million to settle charges that it had overpriced some of its crude oil production during the controls period, which ended a week after President Reagan took office in 1981. The new case involves alleged violations in oil-trading transactions.